ContentFilm Completes Allumination Acquisition

LONDON, September 5: ContentFilm has completed the
acquisition Allumination FilmWorks and UAV Corporation and UAV Holdings,
granting it a foothold in the U.S. home entertainment market.

The deal, first announced in June, saw ContentFilm shelling
out $7 million in cash to acquire the UAV assets. For the purchase of
Allumination, ContentFilm has allotted 23,661,376 ordinary shares to AHE
Acquisition Company, wholly owned by industry veterans Jeff Sagansky and Kerry
McCluggage. McCluggage is joining ContentFilm’s board as executive director.

UAV and Allumination will be combined under the Allumination
FilmWorks banner. It will be managed by McCluggage as chairman and Cheryl
Freeman as CEO. The new business will operate from offices in Los Angeles,
California; Fort Mill, South Carolina and Bentonville, Arkansas.

Allumination FilmWorks has an existing library of DVD
product encompassing approximately 700 titles. For many, U.S. TV rights and
international TV and home video rights are also available.

John Schmidt, the CEO of ContentFilm, noted, “Over the last
two months we have worked hard to integrate our new DVD operation and close the
acquisition. We thank our banks for their support for this deal and welcome
Jeff and Kerry as significant shareholders in our company. We believe there is
a great opportunity to build Allumination into an exciting and profitable DVD
operation. Our new operation contains successful rights acquisition teams and
successful sales teams, and we hope to build on that success in the future. The
new acquisition sits well in our combined group and gives Content an additional
means to exploit its substantial library of assets. We look forward to further
integrate the business into our combined operations.”